Gifts of Real Estate: FAQs
Here are some questions we will need to answer to determine if your property will be helpful to us:
- Is the property void of any liens?
- Are there any environmental concerns with the property?
- Can our charity actually use the property for our work?
- Is the property marketable and salable within a reasonable period of time?
- What are the costs associated with accepting and holding the property?
- Can we realize a positive net return on this property?
You will receive an income tax deduction equal to the appraised fair market value of the property. An independent qualified appraisal is required for this purpose and it is up to the donor to acquire such an appraisal. Donating your property may also reduce your estate costs and taxes as well.
In many cases the answer is yes. Real estate can be transferred to a charitable remainder unitrust which will provide the donor with tax reduction benefits as well as setting up an income stream for beneficiaries such as a spouse, children and/or other loved ones.